After the recent step to bail out stalled housing projects by Central Government, Gujarat Government also undertook a few measures for boosting the state’s real estate sector. One of the prominent measures taken by the state government was raising the Floor Space Index (FSI). Besides FSI it has also granted special approval for building ‘Iconic buildings’ in four cities. i.e. Ahmedabad, Surat, Vadodara and Rajkot.
Floor Space Index is the maximum area that can be constructed on a plot of land. It is calculated by dividing the total covered built-up area on all floors of a building by the area of the plot it stands on.
Vijay Rupani, Cheif Minister of Gujarat has signed the final Comprehensive General Development Control Regulations (CGDCR) at the Growth Ambassadors Summit 2019 of the Confederation of Real Estate Developers Association of India (CREDAI).
According to the new CREDAI norms, real estate developers will get the Floor Space Index of 3.6 roads having a width of 36mm to 44mm. The Floor Space Index for projects along roads with a width of 45 meters will stand at 4. The Floor Space Index of 4 will be given in areas where base FSI is 1.5. Only the R1 zone has an FSI of 1.5 and will benefit from this measure. The R2 and R3 zones will not benefit from it as they generally have a base FSI of 1.2 and 0.3.
Facilities such as clubhouse, gymnasium, play area and swimming pool etc will not be part of Floor Space Index from now on. Plots measuring up to 2,500 sq.m. in non-town planning areas have been exempted from the deduction.
The Cheif Minister expressed that he wants iconic buildings just like Dubai and Hong Kong to come up in Gujarat and would welcome such projects by giving extra Floor Space Index to them.
The Top-notch industry players have appreciated and welcomed these measures. They further stated that this move will help to bring down the cost of homes and offices in Gujarat.
Gujarat Government is working to achieve Prime Minister Narendra Modi’s dream of “Housing for all” and is also working to simplify laws and improve Gujarat’s Ease of Doing Business Ranking. The Chief Minister stated that till now every city and local body had its own General Development Control Regulations (GDCR) but now there will be common set of rules for construction across the state. These new rules are applicable to 8 municipal corporations, 162 municipalities and areas governed by 23 urban development authorities of Gujarat.
The Chairman of the Gujarat State Regulatory Authority shared that the State Regulatory Authority has registered over 6000 real estate projects in Gujarat. The registered projects have an investment of 2 Lakh Crore.